Brazilian global miner Vale expects to gain $US37M in annual benefits from the inauguration of a new artificial intelligence centre at Vitoria in Espirito Santo state that will oversee operations, asset maintenance and performance monitoring.The company says projects under its AI initiatives have already generated more than $20M in savings.Vale is currently working on 13 lines of projects in areas covering ferrous metals, base metals and coal.

Global mining giant Vale has confirmed plans to acquire fellow Brazilian iron ore producer Ferrous Resources. The company says details of the $US550M deal will be released at its Vale Day event in London today.Ferrous owns and operates iron ore mines closely located to Vale's operations in Minas Gerais.The acquisition fits a strategy outlined by CEO Fabio Schvartsman of seeking small, high-return acquisitions with synergies with its existing operations.

START THE WEEK: WHAT YOU NEED TO KNOWAfter their much-criticised race for iron ore volume over the latter stages of the commodity boom, the Big 3 of the seaborne iron ore trade are now locked in a new battle - this time for quality. And based on their recent quarterly reports, it’s clear that Brazil’s Vale is comfortably ahead of its Anglo-Australian rivals Rio Tinto and BHP.

Brazilian mining giant Vale has reinforced its global leadership in iron ore production, achieving a 400Mtpa production rate in the Sept qtr (Q3) while also lifting its average iron content to 64% Fe.Total Q3 production was a record 104.9Mt (Q2: 96.8Mt). Iron ore and pellet sales were also a record at 98.2Mt (86.5Mt).Vale’s “flight to quality”, boosted by ore from its S11D operation, saw the proportion of premium product rise to 79% of total sales, from 77% previously.

Big Brazilian miner Vale’s board is close to approving a $US1B expansion of its Salobo Copper Mine, as the world’s top iron ore miner seeks to diversify, Reuters reports.Vale has declined to comment, but sources say the expansion is on the agenda for expected approval at an Oct 24 board meeting.Salobo, in Brazil’s Para state, began operations in 2012 and produces nearly 200,000tpa.

BHP will pay $US50M to settle a class action complaint filed in the US by investors in its American Depositary Receipts over the disastrous failure of a tailings dam at its 50%-owned Samarco iron ore mine in Brazil in Nov 2015.In agreeing to settle the action in the US District Court in New York's Southern District, BHP has made no admission of liability. The agreement is subject to approval by the District Court.

World No 1 iron ore producer Vale has laid down the challenge for its international rivals in the seaborne global market, announcing a target of reducing its C1 cash costs to below $US13/t in the coming six months.The Brazilian giant overcame a disruptive 12-day national truck drivers' strike to deliver production of 96.8Mt and sales of 86.5Mt in Q2FY2018, both records for a second quarter.

Vale has credited the flexibility of its supply chain for the feat of producing a record 96.8Mt iron ore in the June qtr (Q2) despite 12 days of disruption to production and logistics in May due to Brazil's nationwide truck drivers strike.The world's largest iron ore producer predicts output will exceed 100Mt in each of the two coming quarters, supporting its previously announced production guidance of 390Mt for FY2018.

Big Brazilian miner Vale has banked $US690M to fund about 40% of the $1.7B capex 11-year underground extension of its Voisey's Bay nickel-copper-cobalt project in Labrador, Canada, from cobalt streaming agreements with Wheaton Precious Metals and Cobalt 27 Capital.The deal, also expected to increase Voisey’s annual production by up to 30%, includes upfront payments of $390M from Wheaton and $300M from Cobalt 27 for an aggregate 75% of the project's cobalt stream from Jan 1, 2021.